Using an IRA-QCD to fund a Life Income Gift
Frequently Asked Questions
QCD-funded Charitable Gift Annuity (CGA) or Charitable Remainder Trust (CRT) (Life Income Gift)
Who can make this kind of gift?
People seventy and a half years old and older (even when your required minimum distribution starts at age seventy-three).
Is there a limlt to how much I can give?
Yes. An IRA owner can make a one-time election to use their QCD to fund a life income gift once in their lifetime up to the IRS-approved maximum in existence at the time of funding. The IRS adjusts the QCD maximum each year for inflation. The IRS maximum for calender 2025 is $54,000. and for calendar year 2026, the QCD maximum is $55,000.
Is there a minimum for this type of gift?
海角直播's gift minimum for a CGA is $10,000. A qualified IRA owner who has not already used their one-time election can establish one or more annuities up to the QCD maximium provided that the transaction(s) are completed in one tax year.
海角直播's gift mimimum for a CRT is $100,000 so a qualified IRA owner and spouse could each make QCD gifts up to the IRS-authorized limit to establish a CRT.
How do I make this gift?
Contact the office of Gift Planning for specifics at giftplanning@bowdoin.edu
Are there tax implications?
As long as your gift is made directly from your IRA account, qualifying IRA gifts will not be subject to federal income tax* and will count toward any required minimum distribution. QCD-funded gifts --whether outright gifts or gifts to establish life income arrangements (e.g., CGAs or a CRT) cannot be claimed as an itemized charitable deduction. Distributions from life income gifts funded by QCD are treated as taxable ordinary income.
How do I let 海角直播 College know that I will used my IRA QCD to make a gift?
Contact the Office of Gift Planning at (207) 725-3172 or by emailing us at giftplanning@bowdoin.edu.